Re:Southwest's Bullshit Lawsuit Over a Site That Made $45
by rahimnathwani on Sunday January 28, 2018 @09:52PM
(#16255018)
The policy seems to me a form of price discrimination (i.e. separating a single market into two or more separate markets, based on the price elasticity of demand of the customers).
People for whom $10 or $20 isn't a big deal, will not bother to check if their flight has gone down in price, so South West gets to charge them the higher price. Others who bother to check a few times get to pay a lower price.
It seems similar to coupons/offers in the Safeway app. If you can be bothered to look and add the coupon to your account, you get a discount, but if you're rich you don't bother, and pay the higher price.
People for whom $10 or $20 isn't a big deal, will not bother to check if their flight has gone down in price, so South West gets to charge them the higher price. Others who bother to check a few times get to pay a lower price.
It seems similar to coupons/offers in the Safeway app. If you can be bothered to look and add the coupon to your account, you get a discount, but if you're rich you don't bother, and pay the higher price.